Insurance Recommendations, 1960

[Rick A.]

Re: Insurance Recommendations, 1960

Like Chuck indicated, I too switched to NCM insurance (actually AMIG is the underwriter) at the suggestion of USAA. I saved over $200 insuring my 1963 Z06 by the switch. You need to check it out through Adam Boca, as I believe you be pleasantly surprised by the savings.

[Jack H.]

Re: Insurance Recommendations, 1960

Also, while investigating this aspect of insurance (agreed/stated value, vs. inland marine style policy), bear in mind what the insurance agent tells you can't be trusted. Most all policies have a clause in the fine print to the effect, these are the terms and no aural representations made outside the printed policy have effect.

Second, you'll frequently find company's unwilling to provide you with the full text of the policy prior to your purchase!

The big picture here is stated value or agreed value policies almost always have a clause in the fine print stating the amount the insurer will pay in the case of a given claim is EITHER the stated/agreed value or the ACV (actual cash value), whichever is less, at the time of loss.

That lets them off the hook since they only ask you ONCE for a supporting appraisal of the car's value. After that, who's to say you didn't let the car fall into dis-repair, remove & replace valuable parts, Etc. Bottom line, the ACV on cars of this age is pretty much their scrap value!!!!

Inland marine policies are crafted based on ancient sailing vessel lore. We can't be there to know what was aboard when she went down or what condition she was in, so we place a FIXED value on her and value her contents based on her last port of call manifest. No squabbles, no argument.

But, these nuiances are often lost on rookie insurance buyers. They figure because they established an 'agreed' or 'stated' value on day one using an appraisal, that that value will continue to govern throughout the life of the policy. It's only when they actually read the fine print on the policy that they understand it's their due diligence obligation to keep a rather current 'doomsday' file supporting the car's value AFTER the initial appraisal was obtained...

[Greg W.]

Re: Insurance Recommendations, 1960

I called my agent to find out what I had. I do have "stated value" but he also said that I had a "cost symbol" of $50,000.00. He explained it to me saying that the cost symbol would take care of a total loss. (I guess this is what I told him it would cost me to replace) He did say to take photos every year and if I were to find any articles that stated the value has gone up to forward it to him and he would update.

This all seems very plausable. They have to bring it back to original state and since there are no original GM panels for a 63 vette they would have to use aftermarket anyway.

I am going to go ahead and contact NCM for a quote on both of my vettes but would be shocked if they will be able to better considering all the discounts that I get with one company. By the way they are a A+ rated company.

Surely there is a member that is an agent that could lead us in the right direction?

[Jeff A.]

Re: Insurance Recommendations, 1960

I'm with Hagerty and have, unfortunately, had a major claim. My car was involved in a shop fire several years ago and was just this side of being totaled. Hagerty paid out the full amount of the policy less the salvage value (a couple of thousand bucks) with absolutely no hassle. I recommend them highly. Whatever you decide, I would strongly suggest focusing on any of the companies that deal exclusively with collector cars. They understand the hobby.
Jeff

[John H.]

Re: Insurance Recommendations, 1960

I called my agent to find out what I had. I do have "stated value" but he also said that I had a "cost symbol" of $50,000.00. He explained it to me saying that the cost symbol would take care of a total loss.

All that matters is what the POLICY says, not what your agent says; the POLICY is your contract with the insurance company, not with the agent. Look at the section in the policy where it says what they'll pay you in the event of a total loss; if it has the usual paragraph of weasel-words about "Actual Cash Value", you'll be at the mercy of THEIR determination of what it's worth, not yours, and theirs is the one that sticks.

All "stated value" does is define a "cap" for their maximum liability; it does nothing for you as the policyholder.

An "agreed value" policy says they'll pay the amount you and the company have agreed on, which is either shown on the declarations page or in a separate endorsement; no hassle, no negotiations, no "comparable valuations", no arguments, no conditions, no nothing - they just send you a check for that amount, period.

Read the policy!

[Bill C.]

Re: Insurance Recommendations, 1960

Has anyone noticed in their Hagerty policy, it no longer says Agreed Value but has changed to Guaranteed Value? There must be some legal point with this.
All the best
Bill